Page 5 - DMEA Week 12 2023
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DMEA COMMENTARY DMEA
extending the deadline to the second half of this
year instead. based in Switzerland. The company had no track
Other examples include a 13-year delay for record of executing refining projects, and concerns
a project to upgrade the Samawah Refinery in were raised following media reports that the com-
Southern Muthanna, a contract which was initially pany’s CEO had been convicted for suspect busi-
awarded in 2008, and further re-awarded in 2022. ness dealings in the past.
Hamid Jihadi, an aide to the Muthanna Gover- While Abdulghani appears to have enjoyed
nor, was quoted as saying the project has not been successes since his appointment through the
finished because of “financial and administrative long-awaited signing of deals for the fifth licensing
obstacles.” round, staving off IOC departures and the oppor-
The 150,000 bpd Maysan refinery also suffered tune timing of Karbala’s upcoming launch, history
delays in construction due to water shortages in suggests that landing more than one of the latest
2018, and has been mired in controversy since its slate of projects will pose a major challenge. As the
inception due to a corruption scandal involving country struggles to maintain its current facilities
the Iraqi oil ministry for awarding the engineer- and has a raft of ongoing projects, it may be that a
ing, procurement and construction (EPC) contract ‘less is more’ approach may be more appropriate
to Satarem, an unknown quantity in engineering for a sector much in need of reform.
Week 12 23•March•2023 www. NEWSBASE .com P5
